Geelong property market is fastest growing in regional Australia
GEELONG home values grew faster than any regional area in the nation as new data shows more evidence that prices were softening in the big capital cities.
The CoreLogic Hedonic Home Value Index held steady in March on the back of a stronger performance in regional property markets. Outside of the capital cities, Geelong tops the list for strongest property growth over the past 12 months, where dwelling values are up 10 per cent to $533,555.
The Southern Highlands and Shoalhaven region south of Sydney and Wollongong was the next closest region with 9.5 per cent growth.
Among the big regional cities, Newcastle values climbed 8.3 per cent to $571,700, Wollongong rose 2.5 per cent to $668,500 and the Gold Coast added 2.3 per cent to $533,577.
In Victoria, Ballarat values rose 6.1 per cent to $344,518. Hobart is the nation’s strongest property market with a 13 per cent rise in value over 12 months to $423,468.
Hobart was the only capital city where dwelling values increased over the quarter.
In contrast, Melbourne dwelling values rose 5.3 per cent over 12 months, continuing a slowing trend with values slipping 0.5 per cent in the quarter.
Whitford, Newtown agent Dale Whitford said the trend was very strong and favourable for Geelong property owners.
“In some areas, anecdotally the growth has been better than that,” Mr Whitford said. “Places like Hamlyn Heights and Herne Hill. Geelong West has been a star performer and Belmont is fantastic.
“The inner circle of Geelong has been outstanding,” he said.
Strong population growth, showing a 2.6 per cent increase at the last ABS count, was behind the improved value of property in the region, while the Reserve Bank decision to keep official interest rates on hold at 1.5 per cent helped underline Geelong’s relative affordability.
“We sell to a lot of people come out of Melbourne. They’re a very important part of the market,” Mr Whitford said.
“We’ve known for a fair while now Geelong has been the best market in the country.
“At a very basic level, it’s the second-largest city in Victoria, only 60km out of the capital.
“Go to any other city in the world and they are very densely populated.”
Buxton, Highton agent Tony Moorfoot said lifestyle was an important factor in supporting migration.
“Buyers from Melbourne have been flooding the Geelong market over the past 12 months as they’re seeing the value that Geelong has to offer in terms of price and having everything at their fingertips,” he said
“We are 10 minutes from the world famous surf coast and less than an hour drive to Melbourne.”
Both owner occupiers and investors had been showing interest in the property market secure in a knowledge that it’s a rising market, he said.
Written by Peter Farago for Geelong Advertiser.
Original story can be found here: Geelong property market is fastest growing in regional Australia